A 34-year-old Eastern Cape businessman was the latest to appear in court over allegations of Covid-19 Temporary Employer Relief Scheme fraud.
Luyanda Brian Vava appeared in the East London Magistrates Court on Monday. He faces allegations of fraud, forgery and uttering and was arrested in a joint operation between Directorate for Priority Crimes Investigation (known as the Hawks) and the National Prosecuting Authority (NPA).
The Eastern Cape Hawks said Vava, who the sole director of Widelink Technologies Pty Ltd company, is accused of committing the fraud during the 2020 Covid-19 lockdown.
In 2020 during lockdown, the employers were reportedly encouraged to continue paying their workers and later claim from Covid-19 Temporary Employer Relief Scheme (TERS), said Hawks spokesperson Warrant-Officer Ndiphiwe Mhlakuvana.
It is alleged that he intentionally and unlawfully lodged a claim from Unemployed Insurance Fund (UIF) on behalf of his employees through his company.
Mhlakuvana said it is further alleged the employees are reported to have denied receiving payment from the employer which led to the investigation by Special Investigation Unit (SIU).
The matter was later referred to the Hawks for a thorough probe which revealed that there was material misrepresentation claim made to defraud the UIF.
This led to the actual prejudice of over R300,000.00 suffered in a claim of his employees.
Vava was arrested on Monday, April 29 and following his appearance released on R1,000 bail.
The matter was adjourned to May 31 for further investigation.
